On the eve of Indias general election, India signed a significant Trade and Economic Partnership Agreement (TEPA) with member countries of the European Free Trade Association (EFTA), drawing widespread international attention. According to Bloomberg, the agreement is expected to bring $100 billion in investments to India over the next 15 years and create approximately 1 million jobs, undoubtedly adding political significance to the upcoming Indian election.

The agreement is expected to deepen economic cooperation between India and EFTA member countries—Switzerland, Norway, Iceland, and Liechtenstein. In 2023, the total bilateral trade between India and these four countries reached $25 billion. In exchange, India will eliminate import tariffs on most industrial products from these countries to attract foreign investment and promote the development of domestic industries.

At a press conference, Indian Minister of Commerce and Industry Piyush Goyal emphasized the positive impact of the agreement on Indias economy, particularly in industries such as pharmaceuticals, engineering, machinery manufacturing, and chemicals. However, a major point of contention in the agreement revolves around generic drugs. Reports indicate that the four European countries demanded amendments to Indias patent and regulatory laws to grant pharmaceutical manufacturers six years of data exclusivity for new drug trials, a requirement that directly affects the core interests of India, the worlds largest producer of generic drugs.

This position reflects the Indian governments efforts to seek balance between safeguarding national interests and promoting international cooperation. As the pharmacy of the world, Indias generic drug industry is not only crucial to domestic economic development but also has significant impact on global pharmaceutical supply chains. Therefore, any international agreement that might affect this industry must be carefully considered.

Establishing a bonded pre-inspection model: Setting up inspection transit warehouses in comprehensive bonded zones like Shanghai and Guangzhou to enable immediate inspection upon arrival, reducing average time-to-market by 22 days.